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The districts of Aue and Schwarzenberg were formed in 1873. In 1994 both districts were joined together in order to form a new district, which was called Westerzgebirgskreis (the Western Ore Mountains District). It was renamed Aue-Schwarzenberg in 1995.

The district is located in the western part of the Erzgebirge (ore) Mountains. The tops of these mountains are also the German-Czech border. The highest peak in the district is the Auersberg 1,019 m (3,343 ft), second highest mountain in Saxony.